Great tips on the topic that is near and dear to all brick and mortar businesses, large and small. I would add some more suggestions to it.

1) Try to find unique products that cannot be found elsewhere on the web. Many of the large retailers are doing just that.

2) Try to bundle products and sell it at a discount. Again, by not providing them the ability to compare apple-to-apple you take away their incentive to shop elsewhere.

But most of all, I would stress that you should aim to build trusted relationship with your customers and provide value that goes beyond the price they pay. When you give customers good value and great customer service they will become loyal to your business and think twice about shipping at other places, including online.